NEW YORK: A coalition of 24 U.S. states filed a lawsuit on March 5 seeking to block President Donald Trump’s latest round of global import tariffs, arguing the administration lacks legal authority to impose the duties. The case was filed in the U.S. Court of International Trade, which has nationwide jurisdiction over disputes involving customs and international trade. The states asked the court for a swift order halting collection of the tariffs and for other relief tied to duties already collected.
The lawsuit challenges a 10% import surcharge that applies broadly to goods entering the United States under Section 122 of the Trade Act of 1974. The White House issued a proclamation on Feb. 20 invoking Section 122 and setting a 150-day effective period, with an end date of July 24 unless extended by Congress. The complaint states the 10% tariffs took effect Feb. 24 and says the administration has indicated the rate could rise to the statutory maximum of 15%.
The plaintiffs include the attorneys general of Oregon, New York, California and Arizona, along with Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, North Carolina, Rhode Island, Vermont, Virginia, Washington and Wisconsin. The governors of Kentucky and Pennsylvania also joined. The suit names Trump in his official capacity, the United States, the Department of Homeland Security, Homeland Security Secretary Kristi Noem, U.S. Customs and Border Protection, and CBP Commissioner Rodney S. Scott.
Legal claims
The states argue Section 122 is a narrow, temporary tool designed for “fundamental international payments problems,” and that it does not authorize sweeping tariffs aimed at reducing trade deficits. They contend the statute sets strict limits, including a time cap of 150 days and a rate cap of 15%, and requires nondiscriminatory treatment. The complaint asks the court to declare the proclamation unlawful and to stop federal agencies from implementing it, including customs collection actions tied to the surcharge.
In addition to seeking an injunction, the states asked for refunds of duties already collected under the Section 122 surcharge. The filing says the tariff applies to a wide range of imported goods and affects state purchasing and budgeting, including contracts for goods that incorporate foreign-sourced components. The complaint also challenges actions taken by Customs and Border Protection to implement the surcharge, arguing those actions exceed statutory authority.
Earlier tariff ruling and new timetable
The lawsuit follows a Feb. 20 U.S. Supreme Court decision that struck down many of Trump’s earlier tariffs imposed under the International Emergency Economic Powers Act, prompting a new wave of litigation over tariff refunds and the scope of presidential authority to levy duties. The new suit focuses on the administration’s use of Section 122 after that ruling. Treasury Secretary Scott Bessent said on March 4 that the administration would raise tariffs on most global imports to the 15% limit this week.
The White House has defended the Section 122 surcharge as authorized by Congress for circumstances involving serious international payments problems. Under the proclamation, the surcharge is treated as a regular customs duty and is administered through the federal customs system. The case is pending before the U.S. Court of International Trade, which will determine whether the Section 122 proclamation and implementing actions can remain in effect. – By Content Syndication Services.